Xenova buys out residual ImmuLogic interests

Xenova Group, of the UK, has reached an agreement with ImmuLogic Pharmaceutical Corporation Liquidating Trust to buy out all remaining ImmuLogic rights to future milestone and royalty payments relating to two of Xenova's development stage vaccine programmes, TA-CD and TA-NIC.

Under the terms of the agreement ImmuLogic will receive US$1m (€951,000) from Xenova in return for its rights to all future payments relating to the two antiaddiction vaccine programmes.

Under a 1998 purchase agreement, Cantab Pharmaceuticals, which merged with Xenova in 2001, undertook to pay ImmuLogic certain milestone payments relating to the TA-CD and TA-NIC programmes, payable at the end of each clinical development phase and valued at up to $11m (€10.5m), plus royalties.

ImmuLogic began voluntary liquidation proceedings in August 1999 and is now expected to complete its liquidation following a final cash distribution to its former shareholders.

'We are delighted with this agreement, which releases Xenova from large potential payment obligations and consequently increases our commercial flexibility in relation to both TA-CD and TA-NIC,' said David Oxlade, ceo of Xenova. 'Both programmes have a large commercial potential and are designed to assist the significant number of people worldwide who find it difficult to overcome their addiction.'

TA-NIC, an anti-nicotine vaccine designed to assist in giving up smoking, successfully completed a Phase I trial in mid-2002. This was the first evaluation of an anti-nicotine vaccine in man. It is anticipated that TA-NIC will enter a further Phase I trial in mid 2003. A Phase IIa dose escalation study is currently underway for TA-CD, an anti-cocaine vaccine. This study is designed to evaluate the safety and immunogenicity of a four or five dose vaccination schedule and the results are expected in the second half of 2003. A further Phase II 'cocaine administration' study is expected to begin in early 2003.